Saturday 7 January 2012

Task Two - Clients and PEST analysis.

Based on the principles that have been introduced so far in the Enterprise module, as well as the previous tasks, investigate, analyse and critically evaluate where your potential clients are located. You will need to consider the following questions:

* Where are my potential clients/employers located?
* What media do my potential clients/employers use?
* What do you need to communicate and how does it match what your clients/employer need?

Analyse and compare these examples in relation to the Political, Economic, Social and Technological (PEST analysis) factors that affect their use of graphic design, choice of designer and trends that will influence their decisions regarding graphic design.

Once you have done this summarise your findings by focussing on 1 example and discussing how the clients location and/or use of media will affect what you need to communicate to them and how you might go about doing this.

This is an exercise in exploring and applying PEST analysis and related theories – it is not appropriate to write about the theory itself. Demonstrate your understanding of it by actually using it

* Where are my potential clients/employers located?

For graphic designers potential clients/employers are located anywhere within the world. Realistically, potential employers and clients are based locally in the North of the UK. At the moment as I am a student based in Leeds, I am looking for placements in Yorkshire or Manchester. I also am keen to do some freelance for local bands. When I graduate, my potential clients probably would be within the UK. However, they could be further afield. For example, Brooklyn in USA because I am keen to spend a few months working in a Brooklyn based studio.

Personally clients could be based anywhere, recent technological advances have made it possible for designers to communicate with their clients regardless of location i.e. Skype and Facetime on the Apple products.




What media do my potential clients/employers use?

Skype
Facetime
Email
Phone
Newspapers (both printed and digital)
Magazines (Both printed and digital)
Television

What do you need to communicate and how does it match what your clients/employer need?


Political

There are many political factors that may effect how I communicate what I want. For example I would need to be aware of any increase or descrease in tax restrictions for my client or employer as this might effect what a client can afford to pay for my services. My employer and myself would need to understand the labour law. This determines the legal rights and restrictions of working people. There would need to be a fair working contract(s) in place, for both myself as an employee of a graphic design company or if I was writing a contract for a client. I would also need to communicate to a client who lived abroad that there may be certain trade restrictions between different countries.


Economic

As a graphic designer I need to be aware of economic growth within the UK. This will help me to understand what clients I need to work with in order to identify the goods and services that need to be promoted in order to boost a healthy economy. For example a lot of clients are emerging that need branding for innovative and new products.

One example is (think of a new product!) I would not want to be as designer that promotes and brands goods and services that are already to established and there is not a lot of room for new ideas as these products do not boost national growth.
As a graphic designer I obviously need a wage to survive. However a lot of clients need to charge a small amount for their product which in terrn boosts Economic growth as customers will buy more products as a lower price. Therefore communication and compromise will be needed to ensure I get paid but also the client can get a profit but not have to charge over the odds for their product.

If I am working for a design studio I should make sure I know what the average and expected salary is that a graphic designer should be receiving at my level. (Find out what the average wage is). I also need to understand inflation rates so I can understand how that will effect my wages and living costs.

Understanding inflation rates will also help me to understand what my client needs. For example if they are having to pay more money on expenses and overheads within there business or if it is costing them more to run their business this may effect their budget. Compromises on both sided will need to be made in order to ensure no one is out of pocket.






Social

As a graphic designer I need to communicate affectively who I am as a designer but also I need to take into account what the client wants and how I can work with them and negotiate what they need as well as what is possible for me to produce for them.

Key social factors that may effect how I communicate my needs to clients and employers are:

Religion
Ethnicity
Family
Education
Economic status.
Nationality
Social trends.

If I were to design packaging for an international company I would need to take different languages into consideration.


Technological

Key technology factors may affect my product or services would be the different availability and access of technology. The technology used by companies determines the type and quality of the finished result and delivery of products. This includes the internet, wireless communications, handheld devices and anything else technology-driven that is affecting your product or service.

Once you have done this summarise your findings by focussing on 1 example and discussing how the clients location and/or use of media will affect what you need to communicate to them and how you might go about doing this.


My example is

Jumbo Records


The politics that will effect such a small company may include any increases in tax on small businesses, this may mean that such a small company is unable to afford a graphic designer so choose to publicise themselves. Jumbo would have to consider trading restrictions within the music industry as they use second hand vinyls, that come from the UK and Europe. This would also mean that they would have to consider tax implications of importing clothing from overseas and they would need to be aware of European trading agreements also as on their website they state that they have a wholesale company importing and exporting used recods and also trade from ebay.


The economic factors that may affect a small company include unpredictable currency exchange rates if Jumbo Recs were to import overseas clothes to customise and sell within their store. This would mean awareness of when is a financially good time to buy/sell. Blue Rinse would need to be fairly aware of the economic profile of the consumers in Leeds.






Above shows some incite into the economic profile of Leeds taken by a census in 2001. It tells us that there are over 18 thousand economically active students which shows Jumo Recs that their student friendly relatively low priced clothes may be high in demand. The census also shows how over 103 thousand household are without a car in Leeds which confirms that Blue Rinse being in the city centre is good for business as they are easily accessible.


The social factors that will effect a business like Jumbo Recs are firstly lifestyle trends. Vinyl records are on a constant yoyo battle. At the moment vinyl sales are on a six-year high. But in previous years it was quite the opposite and MP3’s dominated. This was due to the fact that people are going to work and don’t have time to listen to music at home. If young consumers who Jumbo Recs are targeting (between the ages of 18 to 25) fall out of love for their quirky "vintage" vinyls, the business may suffer. Secondly, sustainability issues need to be considered within Jumbo Recs importing and exporting, yes they are recycling used items however what is their carbon footprint like with multiple types of transport bringing their goods from overseas? If I was to work alongside Jumbo recs to produce signage or promotional materials for the shop, I would have to be aware of lifestyle and social trends of consumers in order for a campaign to target the target market successfully.


Finally how will technology effect Jumbo Recs business?
As mentioned in the social change, the rise in download sales have affected the sales of second hand vinyl records. This is due to mp3’s becoming increasingly popular
And the portable devices used to play the music makes it easier to take your music anywhere. You can’t do that with a vinyl. Within Graphic Design technology plays a huge part. Jumbo Recs have a website and examples of promotion materials for the company. Software such as Dreamweaver and potentially all of the Adobe suite would need to be accessible for any designer who was to develop their promotional design. Jumbo Recs would need to be aware of technology abroad in order to evaluate what their competition and potentially they could have access to. As the company imports and exports good telecommunications is important may this be via emails or on Skype.


JUMBO'S WEBSITE


JUMBO'S YOUTUBE SITE

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